It marks a return to the game for the 52-year-old former Northampton Town boss as he looks to help Dave Jones move the Owls away from the Championship relegation zone.
Jones said: "I've brought Stuart in because he's an older head than the coaches I have, he has a vast amount of experience.
"He'll become part of the coaching team and everybody at the club will benefit from his experience and knowledge."
Town, meanwhile, are being linked again with Kidderminster Harriers striker Jamille Matt after his impressive form of recent weeks.